Netflix: Strategic change Streaming/DVD

Summarize the strategic change that Netflix made when they changed how customers rent and pay for DVDs vs. Streaming. What changes did Netflix make, and what was the result? Why?

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Netflix wanted to encourage more subscribers to stream movies because this offers a cheaper delivery system for the company (they save the cost of processing and mailing DVDs). To this end, they decided to increase the mail and online combination plan from $10 to $16 per month (a 60 percent increase). They offered subscribers an opportunity to pay $8/month ...

Solution Summary

This solution discusses the strategic change Netflix made when they changed how customers rent and pay for DVDs vs. Streaming. Includes APA formatted references.